Hot sauce, as a whole, is pretty much used throughout the world. It can be added to nearly any dish, making them more spicy and flavorful. Typically, we see nations that have warmer climates produce and use more hot sauce than others. Hot sauce causes you to sweat and makes you drink more water, so it’s a perfect condiment for people living in warmer areas. Out of all the various types of hot sauces and brands that are out there, one specific type remains as an industry leader: Sriracha. That hot sauce has become so profitable, that in 2012 the company sold around $60 million dollars worth all without advertising. So what is Sriracha, how was it created, and who’s the man behind this famous hot sauce?
After the United States left Vietnam and lost the war in the 1970’s, the communists of North Vietnam absorbed South Vietnam. The war and this political move displaced many of the Vietnamese people, and life was especially difficult for the people of South Vietnam. David Tran, a major of the South Vietnamese army, was forced to flee his homeland after the United States pulled out. So Tran and his family then moved to Los Angeles to create a better life, and to pursue the American dream.
Upon moving to the United States, David Tran found life to be very difficult. He could not find a job and needed a source of income to support his family. He also found that the Americans severely lacked a hot sauce that was spicy enough for his tastes. So Tran began making his own hot sauce in his home, and sold it to local restaurants in Chinatown. His sauce was an instant hit, and soon more and more people wanted to get their hands on the stuff. Tran then created his own company, and called it Huy Fong Foods, naming it after the Taiwanese ship that originally transported him to America. He also needed a name for his sauce, and decided on calling it Sriracha.
Sriracha isn’t actually a unique sauce that Tran pioneered himself. The sauce can trace its origins to Si Racha, Thailand, where the type of sauce is extremely popular. He figured that the town was a fitting name for the sauce, and while it was popular in parts of Asia, it was unknown to most Americans at the time. The sauce itself is made from hot chili peppers, distilled vinegar, sugar, salt, and garlic. Simple ingredients for sure, however when combined together, it’s a very potent concoction. I’m sure many of you have tried Sriracha and can attest to just how spicy it is. When Sriracha first began to spread, many people told Tran that it was “too spicy” and that he needed to make it sweeter. Tran responded to the critics saying “hot sauce must be hot. If you don’t like it hot, use less”.
Tran and Huy Fong Foods began to form relationships with businesses, restaurants, and suppliers in the area, further popularizing his Sriracha sauce. Word began to spread, and soon Sriracha became a massive hit. It became so popular, that it almost even caused the company to collapse as they couldn’t meet the demand for the product. Instead of using other ingredients, Tran held firm with his chili sauce and told customers to wait. That seemed like a risky move, however Sriracha was so popular that people did exactly that. Now Huy Fong Foods actually limits the monthly production of the sauce to ensure that they will never run out or oversell their product.
Today Sriracha is the hot sauce. In fact, it’s so popular than many other companies have tried to replicate the product. Because Sriracha is named after a Thai city, Huy Fong Foods cannot trademark Sriracha. Still despite that fact and the other competitors, Sriracha is still the king. Now you can find it in practically every supermarket across the country, and many restaurants and massive chains like Taco Bell, Applebee’s, Pizza Hut, and P.F. Chang’s use the sauce in some of their dishes.
Sriracha is now a multi-million dollar brand and they still do not advertise their product at all. It’s so popular that you can even purchase T-shirts and cellphone cases with the Sriracha label on it. So how are they able to make that much money without advertising? It’s simple, the same way that Sriracha first became popular: word of mouth. They released a superior product that had virtually no competition, allowing the sauce to spread on its own merit. Sriracha is a classic example of “if you build it, they will come”. Through word of mouth alone, Tran took Sriracha from a sauce he made in his garage into a multi-million dollar company.
Photo Illustration by Scott Olson/Getty Images
